B Mirror Report: The government has announced a Tk 9.38 trillion national budget for the 2026-27 fiscal year under the theme “Journey Towards a Democratic, Humane and Inclusive Economy.”

Finance Minister Amir Khasru Mahmud Chowdhury presented the budget in Parliament on Thursday. It is the first budget of the current government led by Prime Minister Tarique Rahman and the largest budget in the country’s history.

The proposed budget is Tk 1.48 trillion higher than the original budget of the outgoing fiscal year and Tk 1.50 trillion more than its revised size. The budget represents 13.7 percent of the country’s Gross Domestic Product (GDP).

The government has placed special emphasis on controlling inflation, boosting investment, creating jobs and restoring macroeconomic stability to revive economic activity.

Total non-development expenditure, including operating costs, has been set at Tk 6.05 trillion, up from Tk 5.35 trillion in the original FY2025-26 budget. The Annual Development Programme (ADP) has been increased to Tk 3 trillion, marking a rise of more than 30 percent from the current fiscal year’s allocation.

Interest payments alone are expected to cost Tk 127.5 billion, compared with Tk 122 billion allocated in the current fiscal year.

The government has set a revenue collection target of Tk 6.95 trillion, equivalent to 10.2 percent of GDP. Of the total, Tk 6.04 trillion is expected to come from the National Board of Revenue (NBR), while Tk 25 billion will come from non-NBR sources and Tk 66 billion from non-tax revenues.

The proposed budget projects a deficit of Tk 2.41 trillion, or 3.6 percent of GDP. To finance the gap, the government plans to borrow Tk 1.27 trillion domestically, including Tk 1.12 trillion from the banking sector, while expecting Tk 1.16 trillion in foreign loans.

For FY2026-27, the government has set a GDP growth target of 6.5 percent and aims to bring inflation down to 7.5 percent. The new fiscal year will begin on July 1, 2026.